Question

↵ Mohd . Aslam purchased a house from avas vikas Parishad on credit if the cost of the house is rupees 125000 and the parishad charges interest at 12 percent per annum compounded half-yearly, find the interest paid by aslam after a year and a half

Answer 1

Solution:-
The formula for the amount 'A' on the principal amount 'P' charged at 'r' % per annum for 'n' years is given by-
A = (1 + r/100)ⁿ
Here, P = Rs. 125000, r = 12 % and time = one and a half years.
Since the interest is compounded half yearly.
r = 6 % per half year
time = 3/2 × 2 = 3 half years.
A = 125000 (1 + 6/100)³
⇒ 125000 (1 + 3/50)³
⇒ 125000 (53/50)³
⇒ 125000 × 53/50 × 53/50 × 53/50
⇒ 125000 × 148877/125000
A = Rs. 148877 
So, the amount of interest paid by Mohd. Aslam =
Interest = A - P
148877 - 125000
Interest = Rs. 23877  Amswer.

Answer 2

Answer: 23877

Step-by-step explanation:

Principal =125000

Time=1 and half year=3 half years

Rate of interest= 12% =6% (compounded half-yearly)

Amount = P(1+R/100)n

=125000 (1+6/100)×3

=125000 (1 + 3/50)×3

=125000 ×53/50 ×53/50 ×53/50

=148877

Compound interest=148877-125000

=23877